Customer loyalty rewards are frequently used sales promotion techniques to entice customers for continued sales. Customer loyalty rewards vary in form and substance. Some retailers provide discount coupons to entice customers to purchase the retailers inventory. Other retailers entice purchasers through free items accompanying a purchase. Yet other retailers provide in store redeemable cards to be used for purchasing an item. Most loyalty rewards have expiration dates. Some loyalty rewards are also event driven and depend on calendar events or time of the year.
Customer loyalty rewards redemption is a task intensive process. Loyalty reward redemption usually includes locating the right reward for the purchase of an item. Customers may end up paying full price when unable to redeem expired rewards. Additionally, on the spot redemption is difficult if not impossible during a check-out process if the customer does not provide the reward. Coupons are easily misplaced and may not apply to item that the customer may wish to purchase. Loyalty points may continue to accrue. However, loyalty points are usually reserved for major redemptions such as flight fair and hotel costs. Loyalty points rarely entice subsequent purchases through value discounts at the time of purchase. On the spot offers such as coupon books at check-out are also seldom used during the present purchase. On the spot offers may entice the customer for a follow up visit but may not apply to an item that the customer wishes to purchase.